Bonddad on the TARP. After a detailed analysis, he concludes that:
My guess is that much of the anger over TARP has as much to do with how we got here rather than what is actually happening with the program. Put another way, there is understandable anger about the stupidity that has cost the US economy dearly over the last year. That anger is understandable. A perfect storm of lack of regulatory enforcement, greed and outright stupidity combined to place the US in the worst financial situation since the early parts of the Great Depression.
However, I would caution that the anger be stored away from the current discussion and instead brought out when we discuss reform which will be forthcoming. Right now the goal is to keep the economy moving — or, perhaps more precisely, to keep it from falling off a cliff. It’s a bit like lecturing a drunk driver while he’s in the emergency room; yes, he needs to be dealt with, but it’s more important at that time to keep him alive. That’s what we have to do right now — keep the economy alive.